Revolution Medicines (NASDAQ:RVMD) versus Amylyx Pharmaceuticals (NASDAQ:AMLX) Critical Analysis

Revolution Medicines (NASDAQ:RVMD – Get Free Report) and Amylyx Pharmaceuticals (NASDAQ:AMLX – Get Free Report) are both healthcare companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, institutional ownership, profitability, risk and dividends.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Revolution Medicines and Amylyx Pharmaceuticals, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Revolution Medicines 1 1 21 1 2.92
Amylyx Pharmaceuticals 1 0 7 1 2.89

Revolution Medicines presently has a consensus target price of $263.15, indicating a potential upside of 42.59%. Amylyx Pharmaceuticals has a consensus target price of $44.14, indicating a potential upside of 54.45%. Given Amylyx Pharmaceuticals’ higher possible upside, analysts plainly believe Amylyx Pharmaceuticals is more favorable than Revolution Medicines.

Risk & Volatility

Revolution Medicines has a beta of 1.44, indicating that its stock price is 44% more volatile than the S&P 500. Comparatively, Amylyx Pharmaceuticals has a beta of -0.09, indicating that its stock price is 109% less volatile than the S&P 500.

Profitability

This table compares Revolution Medicines and Amylyx Pharmaceuticals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Revolution Medicines N/A -89.91% -57.76%
Amylyx Pharmaceuticals N/A -52.92% -48.53%

Valuation & Earnings

This table compares Revolution Medicines and Amylyx Pharmaceuticals”s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Revolution Medicines $11.58 million 3,416.04 -$1.13 billion ($9.11) -20.26
Amylyx Pharmaceuticals N/A N/A -$144.74 million ($1.43) -19.99

Amylyx Pharmaceuticals has lower revenue, but higher earnings than Revolution Medicines. Revolution Medicines is trading at a lower price-to-earnings ratio than Amylyx Pharmaceuticals, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

94.3% of Revolution Medicines shares are owned by institutional investors. Comparatively, 95.8% of Amylyx Pharmaceuticals shares are owned by institutional investors. 7.6% of Revolution Medicines shares are owned by company insiders. Comparatively, 10.9% of Amylyx Pharmaceuticals shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Amylyx Pharmaceuticals beats Revolution Medicines on 8 of the 12 factors compared between the two stocks.

About Revolution Medicines

(Get Free Report)

Revolution Medicines, Inc., a clinical-stage precision oncology company, develops novel targeted therapies for RAS-addicted cancers. The company’s research and development pipeline comprises RAS(ON) inhibitors designed to be used as monotherapy in combination with other RAS(ON) inhibitors and/or in combination with RAS companion inhibitors or other therapeutic agents, and RAS companion inhibitors for combination treatment strategies. Its RAS(ON) inhibitors include RMC-6236 (multi), RMC-6291 (G12C), and RMC-9805 (G12D), which are in phase 1 clinical trial; and development candidates comprise RMC-5127 (G12V), RMC-0708 (Q61H), and RMC-8839 (G13C), as well as programs focused on G12R and other targets. The company’s RAS companion inhibitors include RMC-4630 that is in phase 2 clinical trial; and RMC-5552, which is in phase 1 clinical trial. Revolution Medicines, Inc. was incorporated in 2014 and is headquartered in Redwood City, California.

About Amylyx Pharmaceuticals

(Get Free Report)

Amylyx Pharmaceuticals, Inc is a biopharmaceutical company dedicated to developing treatments for rare and debilitating neurological diseases. Founded in 2013 and headquartered in Cambridge, Massachusetts, the company focuses on leveraging novel approaches to target cellular pathways implicated in neurodegeneration. Amylyx’s research platform centers on small-molecule therapies designed to protect neurons and support cellular health in patients with conditions that currently have limited or no disease-modifying treatment options.

Receive News & Ratings for Revolution Medicines Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Revolution Medicines and related companies with MarketBeat.com's FREE daily email newsletter.